Is it legal to purchase crypto in Italy?
Italy, known for its rich history, beautiful landscapes, and delicious food, has also embraced the digital age. But how do you buy cryptocurrency in Italy? Is it legal?
The good news is, yes, buying cryptocurrencies in Italy is legal. Italy welcomes cryptocurrency enthusiasts and has set up a legal framework to support them. Here’s a simple guide to answer some common questions about cryptocurrency laws and regulations in Italy.
Are Cryptocurrencies Regulated in Italy?
Italy provides a legal and regulated environment for digital assets. Though Italy hasn’t yet established specific laws for cryptocurrencies, the government oversees digital assets through various institutions and regulatory bodies. Buying, selling, or holding cryptocurrencies in Italy is not prohibited by law.
Since January 2023, Italy has enhanced regulations for cryptocurrency exchanges. This includes a requirement for crypto companies to register with the Organismo Agenti e Mediatori (OAM), ensuring transparency through a dedicated registry, and compliance with Anti-Money Laundering measures. Investors in Italy are encouraged to use registered crypto firms.
These efforts align with Italy’s goal of harmonizing cryptocurrency regulations with the European Union’s new rules. Italy’s central bank governor has affirmed readiness for the EU’s Markets in Crypto-Assets (MiCA) regulations for service providers. These regulations are expected to influence how cryptocurrency companies operate across the European Union.
Is Cryptocurrency Subject to Taxation in Italy?
Cryptocurrency transactions in Italy are taxable.
- Individuals may face liability for capital gains tax or income tax on gains, losses, and various transaction types.
Certain crypto activities are exempt from taxation, including:
- Purchasing crypto with euros.
- Holding crypto.
- Transferring crypto between personal wallets.
However, some transactions lack clear tax guidance, and individuals are still subject to taxation and Failing to file cryptocurrency taxes in Italy can result in penalties, ranging from 120% to 240% of the unpaid tax amount.
In 2024, Italy anticipates the implementation of MiCA, a regulatory framework set to bring clarity and stability to the cryptocurrency landscape. As a result, individuals involved in the crypto sphere can anticipate increased scrutiny and potential adjustments to their tax obligations, making it crucial for enthusiasts to stay informed and adapt to the evolving regulatory environment. Learn more about cryptocurrency taxation in Italy and get detailed information by visiting our website by clicking Below.
